News of the Day - 21 April 2015

• AirAsia planning IPO for Indonesian affiliate in 1H2016, says CEO 

AirAsia Bhd is planning an initial public offering for its Indonesian affiliate in the first half of 2016 to raise about US$300m (RM1.08bn), its group chief executive told Reuters. AirAsia plans to sell a 30% stake in the Indonesian carrier, Tony Fernandes said on the sidelines of the World Economic Forum in Jakarta.

• Celcom Axiata inked MOU with VBT to enhance connectivity in Klang Valley 

Celcom Axiata inked an MOU with Volksbahn Technologies (VBT) to enhance seamless service experience for connectivity and digital services in Klang Valley for LRT and Monorail users. Celcom said that its customers would see a higher level of convenience for their daily transactions with the availability of self-service kiosks at the respective stations in the Klang Valley.  

• KWAP emerged as a substantial shareholder in Hovid, owning 5.0% stake 

Kumpulan Wang Persaraan (KWAP) has emerged as a substantial shareholder in Hovid Bhd. According to Hovid's exchange filing, KWAP had 38.5m shares or a 5.042% stake in the company as at April 8. On April 9, KWAP acquired a further 2m shares, increasing its stake in Hovid to 5.3% or 40.5m shares. 

• Petronas Chemicals looking at higher margins from new specialty products 

Petronas Chemicals Group Bhd is looking at higher margins from new specialty products and chemical derivatives to improve its bottom line. The group will use some of its RM9.8bn cash pile to acquire or develop new products with proven technology partners. "We are evaluating a few other growth projects together with our existing and potential technology partners. The RM9.8bn cash was not kept intentionally," president and CEO Datuk Sazali Hamzah told. 

• EPF has launched four initiatives to improve the current scheme

The Employees Provident Fund (EPF) has launched four initiatives to improve the current scheme, including aligning the full withdrawal age with the minimum retirement age as determined by the government. The other three proposals are aligning minimum contributions with minimum age legislation, extending dividend payments from the age of 75 to 100 years, and introducing shariah-compliant retirement savings in addition to the existing scheme. CEO Datuk Shahril Ridza Ridzuan said despite the changes in the full withdrawal age, the existing pre-retirement withdrawals remain unchanged.